Advertise virtually anything here, with CPM banner ads, CPM email ads and CPC contextual links. You can target relevant areas of the site and show ads based on geographical location of the user if you wish.

How much does one pay for each call? Is it like PPC, you bid on how much the call is worth? I'm not sure if I want to encourage random phone calls, but it seems like it'd be better than clicks.

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These ads are charged at about 45 INR(for india).

When somebody clicks on the ad, you get a text box where you can input your number, the moment you submit google connects a call between you and the advertiser and let both of them speak for as much time as they want. So advertiser only spends about 45 INR, irrespective of the calling time. One can call you from any part of the world and these charges will remain same.

Also if the call get disconnected in first 10 seconds, the advertiser pays nothing.

This service is currently in beta and currently google seem to have offered access to pay per call to some big players in the indian .com industry.

Since this also requires a dedicated back end call center, it may not be feasible for small advertisers.

Suppose, two people click on your pay per call ad simultaneously. In that case you must have a routing capability so that another person can talk to the customer. Such a thing is possible only if you have a dedicated call center(small or big)